According to Recode and TechCrunch, Apple is about to seal the deal with Shazam within this week for around $300 – $400 million (price could vary). For those who don’t know, Shazam is an app that lets you identify any song, TV show, film or advert by simply playing a clip of the audio or the visual fragment.
The app makes most of its revenues from Apple by directing users to iTunes which resulted in the increase in digital download sales for Shazam by 10% in 2016. This will benefit Apple as the company won’t have to pay anymore money for commission.
In addition to this, Shazam is integrated with Snapchat and is responsible for driving traffic to music apps such as Spotify and Google Play Music (around 1 million clicks per day according to Wall Street Journal), so by buying Shazam the company can get more profits through this or could hurt its competitors by shutting down the app. Either way, it’s a win-win for Apple.
We don’t really know what Apple plans to do after acquiring Shazam but it is highly likely that it could be something to do with Shazam’s Augmented Reality (AR), taking into consideration of Apple’s ARkit efforts. Shazam’s AR technology allows users to scan physical objects and produce a 3D animation and 360-degree videos of the content in real time. So Apple could use this to produce its very own version of Google lens. Apple would probably make an announcement regarding this soon and maybe give us a few clues to what they plan on doing with Shazam.
So stay tuned to Win Authority for future updates on this.